Shares rise but Ten, Southern Cross struggle

Shares in Ten and Southern Cross Austereo have dived in a generally rising market, as the two media companies confront different challenges.

Southern Cross Austereo shares were down 5 per cent at $1.05 as the controversy surrounding the prank call by Sydney radio station 2Day FM (which is owned by the company) rages on.

The Australian Communications and Media Authority is looking at whether the station breached any rules in recording and broadcasting a call to the hospital which was treating Prince William's pregnant wife Catherine, following the apparent suicide of one of the nurses who answered the call.

Ten Network shares were off 23 per cent to 25 cents after the company sold $167 million worth of new shares at 20 cents each to institutional investors.

The company is now pitching its share sale to retail investors and is hoping to raise another $63 million to complete what the broadcaster hopes will be a $230 million raising in total.

The broader market was moderately higher, following positive employment data from the US on Friday night, and better than forecast retail and industrial figures out of China over the weekend.

Fortescue Metals had jumped 4.5 per cent to $3.96 by 11:30am (AEDT), while Rio Tinto was 1.7 per cent higher, and BHP Billiton was up 0.6 per cent.

The major banks were also trading higher, but with more modest gains - Westpac was leading the bunch by a small margin, with a 0.6 per cent rise.

Overall, the ASX 200 index was up 0.3 per cent to 4,567, and the All Ordinaries index had risen 16 points to 4,572.

The Australian dollar had edged back from near the 105 US cent mark, to 104.85 US cents.

Market Data

  • Currencies
    Currencies
    NamePriceChange% Chg
    0.9291-0.0074-0.80%
    AUDUSD=X
    0.5536-0.003-0.54%
    AUDGBP=X
    0.6725-0.0059-0.87%
    AUDEUR=X
  • Commodities
    Commodities
    NamePriceChange% Chg